A real estate developer can afford no more than $500 per month in principal and interest...
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A real estate developer can afford no more than $500 per month in principal and interest payments. The most favorable loans available in the market are 1) a 10-year partially amortizing loan with an anual rate of 8% with 20,000 balloon payment and 2) a 10-year interest only loan with an annual rate of 9%. What is the maximum affordable purchase price with a 20% down payment? A real estate developer can afford no more than $500 per month in principal and interest payments. The most favorable loans available in the market are 1) a 10-year partially amortizing loan with an anual rate of 8% with 20,000 balloon payment and 2) a 10-year interest only loan with an annual rate of 9%. What is the maximum affordable purchase price with a 20% down payment?
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To calculate the maximum affordable purchase price with a 20 down payment we need to calculate the maximum affordable monthly payment first The real e... View the full answer
Related Book For
Income Tax Fundamentals 2013
ISBN: 9781285586618
31st Edition
Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill
Posted Date:
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